Trailer Interchange vs Non-Owned Trailer Coverage: What’s Right for Your Trucking Business?
At Cogo Insurance, we understand that protecting trailers you don’t own but use in your business is a critical aspect of your commercial truck insurance. We offer two specialized coverage options: Trailer Interchange and Non-Owned Trailer Physical Damage. While they may seem similar, there are important differences that can significantly impact your business protection.
Trailer Interchange Coverage
Trailer interchange insurance is specifically designed for truckers who exchange trailers with other carriers under a trailer interchange agreement. This formal written agreement allows for seamless transfer of trailers between companies and provides coverage even when the trailer is detached from your truck.
Key benefits of Trailer Interchange coverage from Cogo Insurance:
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- Protection for trailers used under formal interchange agreements
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- Coverage for trailers even when detached from your power unit
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- Meets requirements for logistics networks that utilize trailer interchange agreements
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- Essential for intermodal trucking operations under the Uniform Intermodal Interchange and Facilities Access Agreement (UIIA)
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- Satisfies Amazon Relay requirements, which mandate $50,000 trailer interchange coverage
Depending on your limit and deductible, trailer interchange insurance typically costs between $800 and $1,700 per year. The average limit ranges from $20,000 to $40,000, though specific agreements like Amazon Relay require higher limits.
Non-Owned Trailer Physical Damage
Non-owned trailer physical damage insurance offers broader protection than trailer interchange. At Cogo Insurance, this coverage protects against physical damage to any non-owned trailer in your care, custody, or control, regardless of whether a trailer interchange agreement exists.
Important considerations for Non-Owned Trailer coverage:
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- No trailer interchange agreement required
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- Coverage applies to any non-owned trailer you’re using
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- Protection only extends to trailers while attached to your covered power unit
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- Does not meet UIIA requirements for intermodal hauling in ports and railyards
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- Recommended for most long-haul truckers who frequently borrow trailers or engage in power-only trucking
Which Coverage Should You Choose?
Your choice between trailer interchange and non-owned trailer coverage depends on your specific trucking operation:
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- For power-only operations: Non-owned trailer physical damage provides essential broad protection
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- For logistics networks with written trailer interchange agreements: Trailer interchange insurance is required
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- For intermodal containers hauled from ports and railyards: Trailer interchange insurance is mandatory
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- For Amazon Relay operations: Trailer interchange coverage with $50,000 limit is required
Common Questions About Coverage
When filing a claim:
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- Trailer Interchange requires providing a copy of the signed Trailer Interchange Agreement
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- Without a written agreement, Trailer Interchange coverage may be denied
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- Non-Owned Trailer Coverage requires the trailer to be attached to a covered power unit
At Cogo Insurance, we recommend carefully assessing your trucking operations and discussing your specific needs with one of our licensed insurance agents. We can help ensure your business is properly covered, regardless of whose trailer you’re pulling.
Easy Comparison: Trailer Interchange vs Non-Owned Trailer Coverage
| Feature | Trailer Interchange | Non-Owned Trailer Coverage |
|---|---|---|
| Written agreement required | Yes | No |
| Agreement needed for each individual trailer | Yes | No |
| Trailer must be attached to covered power unit during claim | No | Yes |
| Coverage when trailer is detached | Yes | No |
| Meets UIIA requirements | Yes | No |
| Meets Amazon Relay requirements | Yes | No |
| Typical annual cost | $1,700-$2,000 | Varies by limit |
| Common limits | $50,000-$60,000 | Based on trailer value |
| Best for | Logistics networks with interchange agreements, intermodal operations | Power-only operations, borrowed trailers |
Contact Cogo Insurance today to discuss your trucking operation and determine which coverage option best protects your business. Our experienced agents are ready to help you navigate these specialized insurance options and find the perfect solution for your needs.
